Transfer pricing, hidden profit distribution in this context corporations tendency of tax avoidance

Transfer pricing has become one of the important subjects on international aspect with the passing up on to the liberalization economy. This situation also drew attention of international organizations and legislations have been started to develop on this subject. National and international legislations which are being developed must fit to the global values. Ethical sensibilities of companies show differences with each other. When companies take decisions about transfer pricing must also involve moralities and ethical values in this progress. Companies could create their transfer pricing decisions with staying in the law either benefiting from law's spaces, weakness and differences. Even strategies of transfer pricing convenient to the laws, this strategies cannot be always in ethical values. In this study scrutinizes; aims of transfer pricing, effects, rules which were developed in this field, special cases related to transfer pricing and matters as examples of nation for understanding to national and international dimension's boundaries of transfer pricing. How potential of transfer pricing use to international profit shifting and base erosion from multinational companies and how companies use this transfer prices integrating with other instruments to decreasing international tax burdens are one of the important subjects in this study.